Illinois General Assembly - Full Text of HB4575
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Full Text of HB4575  100th General Assembly

HB4575eng 100TH GENERAL ASSEMBLY



 


 
HB4575 EngrossedLRB100 18143 RJF 33338 b

1    AN ACT concerning finance.
 
2    Be it enacted by the People of the State of Illinois,
3represented in the General Assembly:
 
4    Section 5. The Procurement of Domestic Products Act is
5amended by changing Sections 5, 10, and 25 as follows:
 
6    (30 ILCS 517/5)
7    Sec. 5. Definitions. As used in this Act:
8    "Component" and "cost of components" have the meanings
9given to those terms in the federal Buy American Act of 1933.
10    "Manufactured in Illinois" means: (1) in the case of
11products that are not assembled articles, materials, or
12supplies, that the product is mined or produced in Illinois;
13(2) in the case of assembled articles, materials, or supplies,
14that design, final assembly, processing, packaging, testing,
15or other process that adds value, quality, or reliability
16occurs in Illinois and the cost of components produced in
17Illinois exceeds 50% of the cost of all of the components; or
18(3) that the product is a commercially available off-the-shelf
19item.
20    "Manufactured in the United States" means: (1) in the case
21of products that are not assembled articles, materials, or
22supplies, that the product is mined or produced in the United
23States; (2) , in the case of assembled articles, materials, or

 

 

HB4575 Engrossed- 2 -LRB100 18143 RJF 33338 b

1supplies, that design, final assembly, processing, packaging,
2testing, or other process that adds value, quality, or
3reliability occurs in the United States and the cost of
4domestic components exceeds 50% of the cost of all of the
5components; or (3) that the product is a commercially available
6off-the-shelf item.
7    "Procured products" means assembled articles, materials,
8or supplies purchased by a State agency.
9    "Purchasing agency" means a State agency.
10    "State agency" means each agency, department, authority,
11board, or commission of the executive branch of State
12government, including each university, whether created by
13statute or by executive order of the Governor.
14    "United States" means the United States and any place
15subject to the jurisdiction of the United States.
16(Source: P.A. 98-463, eff. 8-16-13.)
 
17    (30 ILCS 517/10)
18    Sec. 10. Domestic United States products.
19    (a) Each purchasing agency making purchases of procured
20products shall promote the purchase of and give preference to
21manufactured articles, materials, and supplies that have been
22manufactured in Illinois the United States. Procured products
23manufactured in Illinois the United States shall be specified
24and purchased unless the purchasing agency determines that any
25of the following applies:

 

 

HB4575 Engrossed- 3 -LRB100 18143 RJF 33338 b

1        (1) The procured products are not manufactured in
2    Illinois the United States in reasonably available
3    quantities.
4        (2) The price of the procured products manufactured in
5    Illinois the United States exceeds by an unreasonable
6    amount the price of available and comparable procured
7    products manufactured outside of Illinois the United
8    States by 12% or more. To be eligible for an exemption
9    under this paragraph (2), the purchasing agency must first
10    obtain a written waiver from the chief procurement officer.
11        (3) The quality of the procured products manufactured
12    in Illinois the United States is substantially less than
13    the quality of the comparably priced, available, and
14    comparable procured products manufactured outside of
15    Illinois the United States.
16        (4) The purchase of the procured products manufactured
17    outside of Illinois the United States better serves the
18    public interest by helping to protect or save life,
19    property, or the environment.
20        (5) The purchase of the procured products is made in
21    conjunction with contracts or offerings of
22    telecommunications, fire suppression, security systems,
23    communications services, Internet services, or information
24    services.
25        (6) The purchase is of pharmaceutical products, drugs,
26    biologics, vaccines, medical devices used to provide

 

 

HB4575 Engrossed- 4 -LRB100 18143 RJF 33338 b

1    medical and health care or treat disease or used in medical
2    or research diagnostic tests, and medical nutritionals
3    regulated by the Food and Drug Administration under the
4    federal Food, Drug and Cosmetic Act.
5    (b) If the purchasing agency determines that any of
6paragraphs (1) through (4) of subsection (a) applies to a
7procured product, then, with respect to that procurement, the
8purchasing agency shall give preference to manufactured
9articles, materials, and supplies that have been manufactured
10in the United States. In that case, procured products
11manufactured in the United States shall be specified and
12purchased unless the purchasing agency determines that any of
13the following applies:
14        (1) The procured products are not manufactured in the
15    United States in reasonably available quantities.
16        (2) The price of the procured products manufactured in
17    the United States exceeds the price of available and
18    comparable procured products manufactured outside the
19    United States by 12% or more. To be eligible for an
20    exemption under this paragraph (2), the purchasing agency
21    must first obtain a written waiver from the chief
22    procurement officer.
23        (3) The quality of the procured products manufactured
24    in the United States is substantially less than the quality
25    of the comparably priced, available, and comparable
26    procured products manufactured outside the United States.

 

 

HB4575 Engrossed- 5 -LRB100 18143 RJF 33338 b

1        (4) The purchase of the procured products manufactured
2    outside the United States better serves the public interest
3    by helping to protect or save life, property, or the
4    environment.
5        (5) The purchase of the procured products is made in
6    conjunction with contracts or offerings of
7    telecommunications, fire suppression, security systems,
8    communications services, Internet services, or information
9    services.
10        (6) The purchase is of pharmaceutical products, drugs,
11    biologics, vaccines, medical devices used to provide
12    medical and health care or treat disease or used in medical
13    or research diagnostic tests, and medical nutritionals
14    regulated by the Food and Drug Administration under the
15    federal Food, Drug and Cosmetic Act.
16    (c) In determining the price of procured products for
17purposes of this Section, consideration shall be given to the
18life-cycle cost, including maintenance and repair of those
19procured products.
20(Source: P.A. 93-954, eff. 1-1-05; 94-540, eff. 1-1-06.)
 
21    (30 ILCS 517/25)
22    Sec. 25. Penalties. If a contractor is awarded a contract
23through the use of a preference under this Act and knowingly
24supplies procured products under that contract that are not
25manufactured in Illinois or the United States, as applicable,

 

 

HB4575 Engrossed- 6 -LRB100 18143 RJF 33338 b

1then (i) the contractor is barred from obtaining any State
2contract for a period of 5 years after the violation is
3discovered by the purchasing agency, (ii) the purchasing agency
4may void the contract, and (iii) the purchasing agency may
5recover damages in a civil action in an amount 3 times the
6value of the preference.
7(Source: P.A. 93-954, eff. 1-1-05; 94-540, eff. 1-1-06.)
 
8    Section 99. Effective date. This Act takes effect upon
9becoming law.